Highline Teams With Argyle to Drive Payroll-Linked Lending

Payments FinTech Highline Technologies is partnering with employment data platform Argyle to bring payroll-linked lending and bill pay capabilities to lenders across the U.S.

Payroll-linked lending gives consumers who typically can’t get affordable credit access to lower-cost loans that are automatically paid back directly from the borrower’s paycheck. With the solution, lenders decrease missed payments by up to two-thirds and reduce default rates by more than half, according to a Monday (Aug. 29) press release.

“Our partnership with Highline empowers workers, consumers and lenders with over 160 granular data points, while moving us closer to universal financial access for the underbanked, those with thin credit or no credit history, and those that the financial system has traditionally left out; gig workers, shift workers and creators,” Argyle CEO Shmulik Fishman said in the release.

See also: Payments FinTech Highline Looks to Expand After $13M Series A

“Argyle’s data coupled with Highline’s commitment to financial wellness is meaningfully expanding access to financial services and reducing risk for consumers and lenders alike,” Fishman added.

Argyle is integrating its real-time, borrower-permissioned service into Highline’s platform, which gives lenders the ability to implement decisioning, origination and repayment use cases. The capabilities can be embedded into lenders’ own digital experiences, according to the release.

Decisions can be made based on an applicant’s income, employment tenure, and other employment data. Customers can then agree to pay off loans through pre-determined payroll deductions, which Highline manages.

Read more: A ‘Tale of Two Halves’ as Paycheck-to-Paycheck Consumers Feel Added Financial Strain

“True financial inclusion begins with the recognition that there is a shortage of non-predatory options available for many Americans who need access to relatively small dollar loans,” Highline CEO Geoff Brown said in the release.

“The team at Argyle recognizes this as well and, like Highline, is committed to helping more consumers gain access to credit in a way that also makes sense for lenders and fits their business objectives,” Brown added.